The grant is part of a $45.5 million award package, and will support economic development in coal communities in the 54 Appalachian Kentucky counties
BEREA, Kentucky (Sep. 28, 2026)— Mountain Association was awarded $2 million by the Appalachian Regional Commission (ARC) in September 2026 for its new project: Strong Foundations: Fortifying the Building Blocks of Economic Development in Appalachian Kentucky.
This award is part of a recently announced $45.5 million award package supporting 47 projects through ARC’s POWER (Partnerships for Opportunity and Workforce and Economic Revitalization) Initiative, which directs federal resources to help Appalachian coal communities expand economic opportunities by creating high-quality, in-demand jobs in multiple industries, attracting new sources of private investment and providing comprehensive workforce services and skills training.
Mountain Association will use POWER funding to strengthen and expand enterprises in sectors that are foundational to economic development in Appalachian Kentucky. Project activities include deepening support of key economic sectors, including housing and childcare industries, and food access and disaster recovery related businesses and projects. They will also expand access to capital, and implement a new technical assistance approach to more efficiently and effectively meet the needs of small businesses in Appalachian Kentucky.
“For 50 years, the Mountain Association has worked to strengthen the foundation of our local economies,” said Robin Gabbard, President of the Mountain Association. “By investing in essential businesses in these critical sectors, we’re building resilience for the future and helping create lasting jobs.”
As a Community Development Financial Institution, the organization serves small business owners and community leaders with flexible financing to start or grow their enterprises particularly when traditional financing is not an option. They also offer personalized guidance, training, and resources designed to help business and nonprofit leaders succeed and grow sustainably. Their energy experts help businesses and nonprofits reduce costs and plan for long‑term savings, providing bill analysis, energy efficiency and solar assessments, grant application assistance, and financing options. The organization has offices in Berea, Hazard and Prestonsburg.
Mountain Association and partners bring a combined $500,000 in matching funds to the grant. This project will serve 450 businesses, improve 360 businesses with technical assistance, serve 100 participates, improve 80 participants through group training, create 50 new businesses and 150 new jobs, retain 120 existing jobs, and generate $6,000,000 in leveraged private investment over the course of the two-year performance period.
Partners include Appalachian Cradle to Career Partnership, Appalachian Early Childhood Network, Invest606, Kentucky Highlands Investment Corporation, Kentucky Small Business Development Center, and TEK Center.
To date, ARC has invested over $518 million in 605 projects, which are helping to leverage nearly $1.9 billion in additional private investment in coal communities. These investments are projected to have created or retained nearly 54,000 jobs and prepared nearly 190,000 workers and students for new opportunities.
# About the Mountain Association:
The Mountain Association is a 50-year-old nonprofit that invests in people and places in Eastern Kentucky to build a new economy and a brighter future. At the Mountain Association, small business owners and community leaders can access flexible financing to start or grow their enterprises, even if traditional lending options aren’t a fit. Beyond loans, business and nonprofit leaders can also receive personalized guidance, training, and resources designed to help them succeed and grow sustainably. To help businesses and nonprofits reduce costs and plan for long‑term savings, their energy experts provide bill analysis, energy efficiency and solar assessments, grant application assistance, and financing options. The Mountain Association also collaborates with partners to research challenges, share local stories, and advocate for policies that support community‑led growth. For more information, visit www.mtassociation.org.
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